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LTO to penalize overpricing driving schools

Published Mar 23, 2023 03:34 am
The Land Transportation Office (LTO) has capped the fees of driving schools effective April 15, 2023 and will impose P50,000 fines and 6 months suspension of the accreditation of first-time violators, LTO Chief Jay Art Tugade announced Thursday, March 23.
LTO will double the fine to P100,000 plus one-year suspension for second-time violators and revoke the accreditation of third-time violators, he warned.
The allowed maximum prescribed rate for theoretical driving courses (TDCs) will be P1,000.00 while the maximum prescribed fees for practical driving courses (PDCs) will vary depending on the license code -- P2,500 for driver’s license codes A and A1, and P4,000 for license codes B, B1, and B2, according to LTO Chief Tugade.
The new prescribed rates will be in the Omnibus Guidelines on the Accreditation, Supervision, and Control of Driving Institutions, and the Standardization of Driver and Conductor's Education.
The omnibus guidelines will also include directives on the standardization of drivers’ and conductors’ education.
Accredited driving institutions will be required to hold the mandatory 15-hour TDCs in two days, with the first seven hours on the first day and the remaining eight hours on the second day.
On the other hand, the practical driving instructions shall not be less than 8 hours per driver’s license code applied for.
“PDC for light and heavy vehicles shall be conducted for at least two days while 8-hour PDC for motorcycles may be conducted in one day, provided that the student-driver has proven to have already acquired the knowledge based on the assessment by a practical driving instructor,” the memorandum circular stated.
Driving institutions must also enroll the details of their clients to the LTO System using the Land Transportation Management System (LTMS) Client ID to determine the starting date of the TDC amid the issue of “non-appearance” by some applicants.
“Registration of his/her biometrics before and after every session for attendance purposes is required. The Driving Institution shall provide and maintain an attendance sheet to record the actual presence of the applicant during the conduct of the face-to-face TDC and written examination or validation,” according to the memo.
After completing the course and passing the final exam for TDC plus at least 8-hour PDC, the applicant will be issued a Certificate of Course Completion.
It will be electronically transmitted in real-time to the LTMS through the Driving Institution Portal.
LTO is implementing the prescribed maximum rates after its technical working group held a series of meetings and consultations with different driving schools’ associations and stakeholders last year, according to LTO Chief Tugade.
“The rates were computed to make sure that driving institutions still get a fair return of investments and at the same time make it affordable to the public,” he noted.
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